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FxWirePro: EUR/AUD bulls lose traction, cannot add to overnight gains

• EUR/AUD initial gained  on Thursday but gave up ground as investors digested  the European Central Bank's December policy meeting minutes.

• The ECB’s December meeting   revealed policymakers' confidence in inflation returning to the target, yet they acknowledged persistent risks, leading them to maintain a stable policy and high borrowing costs.

• At GMT 23:01, the pair was trading up 0.02 percent  at 1.6539 after reaching daily high at 1.6670

• Technical signals are bullish as RSI at 70, daily momentum studies  21, 30 and 50 DMA’s are trending up.  

• Immediate resistance is located at 1.6587(38.2%fib), any close above will push the pair towards 1.6645 (Higher BB).

• Immediate support is seen at 1.6528 (Daily low) and break below could take the pair towards 1.6493(38.2%fib).

Recommendation: Good to buy  around 1.6500, with stop loss of 1.6380 and target price of 1.6580
 

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